3Commas Review: Trading Bots & the Future of Easy!

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Introduction to 3Commas

Is it safe or not to use automated crypto trading bots? That might be the question on your mind. With 3Commas, it’s different. This excellent cryptocurrency trading bot platform is designed for both beginner and professional traders. It offers smart trading tools that integrate with multiple of the best crypto exchanges.

Moreover, 3Commas provides an intuitive interface for crypto traders to navigate volatile markets. The platform supports both manual traders and those who prefer automated trading platforms. Over a period of time, it has helped successful traders optimize their trading strategies.

Furthermore, the platform emphasizes proper risk management strategies. Offering features like Smart Trade and paper trading ensures that traders can test their strategies with minimal risk. Therefore, whether you’re dealing with bull markets or sideways markets, 3Commas equips you with the necessary tools.

Founders of 3Commas

3Commas was founded by Yuriy Sorokin, Egor Razumovskii, Mikhail Goryunov, and Andres Susi, all with extensive experience in the crypto markets.

• Yuriy Sorokin serves as the Chief Executive Officer (CEO) & Co-Founder.
• Egor Razumovskii is the Chief Technology Officer (CTO) & Co-Founder.
• Mikhail Goryunov acts as the Marketing Advisor & Co-Founder.
• Andres Susi holds the position of Chief Business Development Officer & Co-Founder.

They envisioned a platform offering smart trading tools for crypto traders worldwide. Moreover, they aimed to create an intuitive interface but complex platform that caters to both beginner and professional traders. Integrating automated trading bots like the dollar cost averaging bot and the grid trading bot provided a powerful tool for successful trading. Furthermore, their emphasis on proper risk management strategies helps traders navigate the volatile crypto markets effectively. Under their leadership, 3Commas has become a leading crypto trading platform known for its innovative features and commitment to user success.

Trusted Tools and Tough Lessons

3Commas has had its bumps on the road to success. In 2022, a significant user API key leak took place. The leak revealed flaws concerning the security holes of the connected exchange APIs. This sparked a lot of anxiety. Either way, 3Commas acted in an appropriate manner by enhancing security measures and providing the users with safer API key recommendations. After that, the company rebuilt trust by offering platform transparency and safety mechanism adjustments that are officially described as works in progress. This was additional trust and confidence that the users were after. In the end, 3Commas continues to be one of the most trusted tools for automating cryptocurrency trading today.

3Commas Review: Security

One of the key concerns for any crypto trader is security. 3Commas is a complex platform that integrates with exchanges using API keys, ensuring no direct access to user funds. The platform prevents unauthorized trades and potential security breaches by disabling withdrawal functionality on API keys. In the past, 3Commas had a poor security track record; however, they have improved through a recent Security Upgrade to prevent these security breaches. They now provide enhanced protection for crypto trading accounts and a proper risk management framework to address past issues. This improves the safety of user funds across connected exchange accounts to prevent unauthorized trading.

3Commas’ Key Features

The crown jewel of 3Commas is its wide range of automated trading bots. These crypto trading bots allow traders to automate their trading strategies across multiple crypto exchanges. Whether dealing with a volatile market or stable market conditions, these bots react in real time. For example, the dollar cost averaging bot helps spread risk by purchasing crypto assets over periodic intervals. This reduces the average entry price, benefiting traders when the market rebounds.

1. Grid Trading: How Grid Trading Works

In grid trading, traders set upper and lower price limits for an asset, and the grid trading bot automatically executes buy and sell orders as the asset’s price fluctuates between those limits. The grid consists of multiple horizontal levels, each representing a price where a buy or sell order is placed.

• Buy Orders: Placed at intervals below the current market price, the cryptocurrency trading bot platform buys assets as the price drops to these predefined levels.
• Sell Orders: Placed at intervals above the market price, the bot sells assets as the price rises.

For example, if a grid is set between $100,000 and $102,000 for Bitcoin, the grid trading bot will place buy orders near $100,000 and sell orders near $102,000. Each time the price crosses one of these levels, the bot captures small profits from the market’s natural fluctuations.

Advantages of Grid Trading

• Profiting in Sideways Markets: Grid trading works well in sideways markets where prices fluctuate within a range.
• Automation and Efficiency: The grid trading bot automates trades, saving time and reducing the chances of human error.
• Risk Management: Traders can adjust the upper and lower limits to control risk.
• Consistent Profits: Small, frequent trades add up, particularly in volatile markets.

Disadvantages of Grid Trading

• Ineffectiveness in Strong Trends: Grid trading performs poorly in strong upward or downward trends.
• Capital Requirements: Multiple orders across price levels require significant capital.
• Fees: Frequent trades can lead to high fees.

Grid Bot on 3Commas

3Commas offers a customizable grid trading bot that works on major exchanges like Binance and Bybit. Experienced traders can define grid levels, set entry prices, and adjust strategies based on market conditions. Integration with Trading View enhances trading signals, optimizing entry and exit points. This feature, combined with stop-loss and take-profit settings, helps traders control risk and reward to Smart Trade.

2. Portfolio Analyzer and Tracking

One standout feature is the comprehensive portfolio management system. It allows traders to track their portfolios over time, providing deep insights into market trends. By analyzing trading statistics, traders can adjust their strategies accordingly. Additionally, the portfolio manager syncs with exchange accounts via API integration. This ensures real-time updates of active trades and coin ratios. Therefore, traders can easily manage their portfolios through coin ratio adjustments and view performance.

3. 3Commas Signal Bot

The 3Commas Signal Bot is a powerful tool designed to automate cryptocurrency trading by integrating with platforms such as TradingView. It allows users to convert alerts from various sources—including TradingView indicators, PineScript, Java and Python scripts, on-chain analytics, sentiment analysis tools, and automation services like IFTTT—into executable orders on their exchange accounts. This seamless integration enables real-time trading actions, allowing traders to take advantage of market opportunities without manual intervention. The bot ensures secure operations through features like secure API key storage and IP whitelisting for exchange connections.

To enhance trading efficiency, the Signal Bot includes a range of advanced features:

• One bot for Long and Short trading strategies: With hedge mode enabled, traders can manage multiple positions simultaneously, allowing for dynamic responses to market fluctuations.
• Multiple Take Profit Targets with Trailing: Enables traders to establish multiple profit levels and implement trailing mechanisms to optimize gains as the market moves in their favor.
• Stop Loss with Breakeven Functionality: After the first take profit target is reached, the stop loss automatically adjusts to the average entry price, aiding in locking in profits and minimizing risk.
• Multi-pair trading mode: Supports up to 200 trading pairs in a single bot, making it easier to diversify and automate across multiple assets.
• Flexible Order Scaling: Fine-tune trading strategies according to individual preferences, choosing up to 5 different order size options for both opening and closing trades.
• Risk Management: setting a maximum initial margin to control the total volume of placed orders.
• Detailed Execution Logs: Offers complete transparency on every trade the bot executes, allowing traders to evaluate performance and troubleshoot strategies.
• Comprehensive Monitoring Tools: Gives users real-time insights into bot activity and market conditions, ensuring optimal performance and quick decision-making.

These features together create a strong and adaptable environment for automated trading, offering users both control and flexibility.

4. Copy-Trading Feature

For those new to the market, the copy-trading feature is valuable. It allows users to follow and replicate the trades of successful traders. By copying hundreds of traders, beginner traders can learn profitable trading strategies. (Must read: Is it possible to have the same results while copying someone else’s bot?)

Furthermore, this feature helps in avoiding heavy losses by relying on the expertise of professional traders. It also provides educational content on trading psychology, which is essential for long-term investors. Consequently, it bridges the gap between retail investors and institutional investors. Looking at all the improvements 3Commas has made, this has been the #1 thing that has caught our attention. Thus, many experienced traders will choose to follow a signal provider who will “Dollar Cost Averaging.” So you should take into consideration their trading strategy ahead of time. 

You would not want to be caught not being able to get into trades or using a provider that is not profitable to you because they use trading strategies of auto-averaging their trades that you are not set up for or maybe are too risky to even follow, so food for thought! Simply put, “KYSP” Know Your Signal Provider. This will prevent some of the mishaps that can happen when using 3commas and their auto-trading signal providers.

Using 3Commas in Practice

Proper risk management is crucial in crypto trading. 3Commas offers robust tools to help manage your risk profile. For instance, traders can set proper risk management parameters for each bot.

The Safety Trades feature in the dollar cost averaging bot reduces potential losses. It automatically buys more of a crypto asset when its price drops, lowering the average entry cost. Thus, in volatile markets, it minimizes risk while maximizing potential gains.

Moreover, traders can set profit targets and stop-loss timeouts. These features ensure that trades are executed within the desired level of risk. Therefore, even in unpredictable market conditions, traders can maintain control over their investments.

Pricing Plans Overview

3Commas offers four flexible pricing plans designed for different crypto traders, helping them succeed in volatile crypto markets:

• Free Plan: This no-cost plan is perfect for retail investors or beginner traders starting out with basic portfolio management. It allows access to the trading terminal, a limited number of active SmartTrades and bots, including DCA Trades and basic tools, offering a taste of the platform’s potential.

• Pro ($37 per month): This advanced plan introduces additional features like single-pair crypto trading bots and grid trading bot options, giving crypto traders a chance to enhance their trading strategy with automated tools. It also allows traders to test DCA bots, which is ideal for managing market volatility and setting profit targets based on market conditions.

• Expert ($59 per month): This plan is tailored for more serious or advanced traders. It unlocks all automated trading bots, such as grid bots and Options bots, while enabling unlimited active SmartTrades. It includes integration with TradingView and supports multiple crypto exchange accounts, helping traders automate their strategies based on trading signals and market trends. It’s an excellent platform for building a successful trading strategy using advanced tools like the portfolio manager.
• Asset Manager ($374 per month): This high-tier plan is built for professional traders or institutions managing client funds. It includes all Expert features plus multi-client management capabilities, making it ideal for those who require more control, reporting, and portfolio tools to run a trading operation at scale.
• Custom (Contact 3commas): This is the most advanced plan for professional traders and institutional investors looking to optimize their trading performance. It supports all automated trading platforms, provides full access to SmartTrades features, and offers copy-trading options, which allows traders to mimic the successful strategies of other advanced traders. It’s a powerful tool for those managing multiple exchange accounts and needing advanced trading options for a wide range of assets.

Free Trial

For those wanting to try the platform, 3-day free trial periods allow traders to explore all features, including paper trading, which simulates real market conditions without risking any funds. This trial is ideal for testing a profitable trading strategy before committing to a paid plan.

Pricing Summary

Payments can be made via credit card or cryptocurrency, ensuring flexibility for traders. 3Commas also ensures a simple process for upgrading plans, accommodating growing portfolio management needs as trading strategies evolve over time. The platform’s intuitive interface makes transitioning between plans seamless, while customer service is readily available to support traders with any inquiries, offering quick response times.

With 3Commas, as your trading needs increase, you can easily scale up your subscription to include more advanced crypto trading bots, risk management strategies, and tools for a more profitable trade experience. This flexible pricing ensures the platform grows with you, from managing minimal risk to executing complex, highly automated strategies for trading success. It’s important to mention that all plans include:

Integration and Usability of Exchanges

A major advantage of 3Commas is its seamless integration with over 23 leading cryptocurrency exchanges. These include crypto exchanges like Binance, KuCoin, and OKX. The API integration process is secure and user-friendly.

From a functionality standpoint, this integration allows for efficient portfolio management. Traders can execute trades across multiple exchanges from a single dashboard. Consequently, it simplifies the trading process and enhances response time.

In terms of security, 3Commas ensures that user funds remain safe by only allowing trade execution through API keys, which do not grant withdrawal access. Users can further enhance security by configuring API keys to disable withdrawals, preventing unauthorized access to their funds.

3Commas’ Mobile Apps and Notifications

To stay connected on the go, 3Commas offers mobile apps. Available on iOS, with an Android version in development, the apps provide most of the desktop features. Traders can manage active trades and monitor market conditions anytime for fast response time and successful trading.

Furthermore, the apps support real-time trading signals and notifications. This ensures that traders can respond quickly to market volatility. With an intuitive interface, the mobile experience is seamless and efficient.

3Commas Customer Support

The platform provides robust customer service with a knowledgeable team available to assist users with any issues. They offer support for everything from bot settings to portfolio management. Users can access a comprehensive knowledge base that includes tutorials, FAQs, and educational content on crypto trading psychology, the 90-90-90 rule, and smart trading techniques. Additionally, the platform provides a 3-day free trial for new users to explore its features.

3Commas vs. the Competition: Why It Still Leads in Crypto Automation

When comparing 3Commas to competitors like Cryptohopper and Bitsgap, key differences quickly stand out. While all three offer automated bots and portfolio tracking, 3Commas delivers more flexible strategies and deeper exchange integrations. For example, 3Commas’ Smart Trading terminal is more robust than Cryptohopper’s interface, allowing advanced order types like trailing stop-loss and simultaneous TP/SL. Bitsgap excels in grid bots but lacks the same depth in risk management tools. Additionally, 3Commas supports over 23 exchanges, more than both rivals. Though each platform has strengths, 3Commas continues to lead with innovation, customization, and user-focused tools that serious crypto traders demand.

Pros and Cons of 3Commas

Pros

• Comprehensive Trading Tools: Offers a variety of automated trading bots like the dollar cost averaging bot and grid trading bot. These tools help implement profitable trading strategies across multiple crypto exchanges.
• Intuitive Interface: Provides an intuitive interface suitable for both beginner traders and professional traders. This makes managing active trades and portfolios straightforward.
• Risk Management Features: With proper risk management parameters and features like stop-loss timeouts, traders can control their level of risk effectively.
• Integration with Major Exchanges: Seamless API integration with exchanges like Binance and OKX enhances functionality and response time.
• Copy-Trading Feature: The ability to copy hundreds of successful traders helps users, especially retail investors, learn and implement profitable strategies.
• Mobile Accessibility: The mobile apps allow traders to monitor market conditions and manage trades on the go for a great trading experience.
• Educational Content: Provides educational resources to improve crypto trading psychology and strategies.

Cons

• Complexity for Beginners: Despite an intuitive interface, the platform’s advanced tools and settings might overwhelm beginner traders.
• Capital Requirements: Strategies like grid trading require significant capital due to multiple orders across price levels.
• Fees: Frequent trades, especially with grid bots, can lead to high fees on exchanges.
• Limited Mobile Features: The mobile app, while useful, may lack some features available on the desktop platform.
• Potential for Heavy Losses: Without proper risk management, automated trading can result in heavy losses, especially in volatile markets.
• Security Concerns: While 3Commas has had security breaches, any platform using API integration carries some level of risk.
• Trial Period Limitations: The 3-day free trial might be too short for some users to fully evaluate the platform.

Final Thoughts About 3Commas

3Commas is a powerful tool for anyone serious about crypto trading. It combines advanced trading options with an intuitive interface suitable for both beginner and professional traders. By offering a variety of automated trading bots and risk management features, it stands out in the crowded crypto trading platform space. It supports traders at all levels with features like paper trading and educational content.

While 3Commas has faced some issues in the past, these challenges have been valuable learning experiences. The platform has implemented significant security upgrades and improved its risk management strategies and communication. By learning from past challenges, it has strengthened its offerings to provide an excellent manual and automated trading platform. This ensures profitable trading strategies in various market conditions and can save you time and give you a good night’s sleep.

3Commas has much to offer, so check it out when you have time or need to become a more efficient trader. Until next time, enjoy and AUTO-ONWARDS!

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